Latest News on Dividend and Preferred Stocks

City Office REIT, Inc. Launches a Preferred Offering

Small office REIT, City Office REIT, Inc. (NYSE:CIO)  has sold a new 4,000,000 share preferred stock offering with a coupon of 6.625%.  The offering also allows underwriters to purchase up to 600,000 over allotment shares. CIO came public in 2013 and thus far owns 15 high quality office buildings in markets such as Phoenix, Austin, […]

Insurers Sell Preferreds

In the last couple of days 2 insurance companies have moved to take advantage of the current ultra low interest rate environment by selling new preferred stock issues. AmTrust Financial Services (NASDAQ:AFSI), a property and casualty insurer, has sold a new preferred issue with a coupon of 6.95%. AFSI has been one of the most […]

BDC Gladstone Investment Corporation Issues Term Preferred Stock

Business development company Gladstone Investment Corporation (NASDAQ:GAIN) has issued a term preferred stock in a “refinancing” transaction.  A term preferred stock, unlike a perpetual preferred stock, has a mandatory redemption date. As longtime readers know we love term preferred stock, although we are not always fond of the issuers.  Gladstone Investment Corporation is a so, […]

Rearranging Short/Medium Duration Portfolios

As we noted in a writing on September 6th the Short/Medium Portfolios have performed well in the last year, but there were some opportunities to do some rearranging to capture some large gains. Both of these model portfolios were set up to minimize volatility while still garnering a “fair” return all while making very few […]

Utility Entergy Mississippi Sells First Mortgage Baby Bonds

As we had previous predicted, when utility companies Entergy Arkansas and Entergy Louisiana, sold baby bonds a few weeks ago, sister company Entergy Mississippi has sold a new 4.90% first mortgage bond.  As we have come to expect investment grade bonds from utilities are being issued with very modest coupons to refinance older issues. This […]

Aspen Insurance Holdings Limited Sells a Preferred

Global insurance company Aspen Insurance Holdings Limited (NYSE:AHL) has sold a new perpetual preferred stock with a coupon of 5.625%.  Being a insurance company the shares are required to be non-cumulative in respect to dividends (if they are not declared and paid they are gone forever).  Dividends will qualify for preferential tax treatment (taxed at […]

The Southern Company Sells a Giant Baby Bond Offering – Ticker SOJB

With over 9 million customers and 44,000 megawatts of electricity generating capacity you would expect that The Southern Company (NYSE:SO) would issue pretty large offerings of bonds and they have just done a $800 million dollar subordinated note offering.  The notes are rated lower investment grade. SO is a holding company for numerous electrical utilities in […]

2 Banks Issue Preferred Shares

2 smaller banks have issued new preferred shares.  They are both non-cumulative with respect to dividends–a requirement for proceeds to be counted as Tier 1 capital.  Both issues are redeemable in approximately 5 years, at the option of the issuer.  Both new issues pay dividends that are qualified for preferential tax treatment. Associated Banc-Corp (NYSE:ASB) […]

A Taste of Things to Come?

With the DJIA off 230 points at this moment based upon a spike in interest rates created by Fed speak one wonders if they should be buying now.  Eric Rosengren, who has been fairly dovish and lobbying for low interest rates has now changed his tune.  In typical Wall Street fashion the markets have reacted […]

Industrial REIT Monmouth Sells a Refinancing Preferred

Monmouth Real Estate Investment Corporation (NYSE:MNR) has sold a 6.125% cumulative, redeemable preferred stock issue with the intention of redeeming their outstanding Series A preferred. The issue to be redeemed carries a coupon of 7.625% meaning MNR will reduce their annual costs by near $2 million annually.  While the 6.125% coupon seems a bit stingy […]

And the Winner Is….

Let’s face it all income investors are winners this year (unless you have pulled some really dumb moves), but some winners are bigger than others. Our goal, both personally and in our models on this website, is to have good success without feeling a need to trade continually and to that end we are succeeding […]

The Preferred Stock Owners Dilemma

Actually it is not just the preferred stock owner that has an issue, it is also the holders of exchange traded debt (baby bonds). We are all struggling to hold onto our best income producing securities, while issuers are bound and determined to call them away from us as quick as they can do so. […]